EUR/USD: general analysis

Last week, the US Dollar gained strong support from the ADP employment report and Friday's non-farm payrolls report. At the same time, it should be noted that US trade deficit widened to $44.50 billion that is considered as a negative factor for the American currency.

Favorable data on Germany’s industrial production was released in this morning. In June industrial output grew 0.5% and 0.8% in monthly and annual terms respectively.

On Tuesday dynamics in the pair might be influenced by data on Germany’s trade balance. A strong growth in the country’s exports and favorable data on trade surplus could support the European currency.

Support and resistance

On the 4-hour chart, the pair is trading between the middle and lower lines of Bollinger Bands . MACD histogram is in the negative zone, its volumes are gradually growing. Stochastic is moving up.

Short positions can be opened from the level of 1.1060 with the target at 1. 1015 and stop-loss at 1.1080.
Long positions can be opened from the level of 1.1110 with the target at 1.1160 and stop-loss at 1.1090.
Validity – 1-3 days.

More analytic from LiteForex https://www.liteforex.com/trading/forex-analysis/?uid=880952068&cid=12118